Fairer Business Rates for All
London’s West End is facing a major challenge – a proposed business rates hike of up to 26% that could stifle investment, impact jobs, and hurt our world-renowned retail, hospitality, and leisure businesses.
From April 2026, new higher business rates for all businesses with a rateable property value of over £500,000 will be introduced, due to the Government’s upcoming proposed changes.
These changes would hit the West End hardest, putting pressure on retail, hospitality, and leisure businesses already operating on tight margins, and risk damaging jobs, growth and high streets.
Our analysis, undertaken by local government finance experts and released in January 2025, highlights the upcoming changes to businesses rates and the financial burden businesses face. Our additional analysis, released in August this year, indicates an even greater financial hit, up to a 26% increase in business rates.
HOLBA are urging the Government to rethink this unfair tax increase before the 2025 Autumn Budget.
What does it mean?
Estimated increase for businesses with an RV of over £500k
26%
No. of businesses likely to be affected in Westminster (many of which are in retail, hospitality and leisure sectors)
2,000
UK businesses that would bear the estimated £2.2 billion business rate hike, with 44% of them based in London
0.8%
Businesses that invest in our cities and communities should not be penalised.
HOLBA are calling Government to:
- Pause the implementation of the 2026 changes
- Undertake a comprehensive review to fully understand the impact on businesses
- Consider a new, fairer system that expands the current tax base
What you can do:
- Download and read our consultation response
- Read our impact assessment and alternative solution
- To be part of the campaign, contact our Head of Public Affairs, Antonia Stratford on antonia@holba.london.
Ros Morgan, Chief Executive, HOLBA:
Many of our members who will be affected by this tax rise are retail, hospitality and leisure businesses – the majority of whom are currently operating on wafer thin margins. The cumulative impact of these cost rises is already stifling investment, employment and growth which could be very damaging in the long term for our area of the West End that is worth over £10 billion annually to the UK’s economy.
